GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

NON-MONETARY BUSINESS TRANSACTIONS

EFFECTIVE FISCAL YEAR 2019

Prepared By:

GENERAL LEDGER AND ADVISORY BRANCH

FISCAL ACCOUNTING

BUREAU OF THE FISCAL SERVICE

U.S. DEPARTMENT OF THE TREASURY
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Version Number Date Description of Change Effective

USSGL TFM

Effective 

Date

1.0 04/23/2019 Original Version 2019-14 07/11/2019
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Background 

Throughout the year, Federal Program Agencies (FPAs) incur gains and losses on non-monetary business transactions based on the fluctuation 

of foreign currency exchange rates. During the period of execution, gains and losses are incurred at the time of disbursement as these exchange 

rates move up/down. 

A gain is recognized when the exchange rate in the value of foreign currency decreases in relation to the equivalent value of the United States 

dollar (USD). A loss is recognized when the exchange rate in the value of foreign currency increases in relation to the USD equivalent value. 

For accounting purposes, applicable gains and losses are realized at the time of disbursement.

Historically, USSGL guidance only addressed gains/losses from the revaluation of foreign currency at the end of accounting periods (when 

foreign currency is revalued at the going exchange rate) for monetary assets, such as cash and cash equivalent investments. Specifically, 

USSGL Transaction Code D576 records a loss resulting from the revaluation of foreign currency in the Foreign Currency Account Symbol 

(X7000 series) at the end of an accounting period, while Transaction Code D578 records a corresponding gain. However, there has been no

transaction-level guidance to standardize the accounting treatment of gains and lossesrelated to non-monetary assets, such as unpaid obligations, 

in the normal course of business.

Currently, FPAs utilize USSGL accounts 719000 and 729000 for recording these gains and losses. However, the only foreign currency gains 

and losses recognized in the USSGL guidance are related to the revaluation of foreign currency investments (USSGL account 120000) in the 

Foreign Currency Account Symbol (X7000 series). As currently written, the transactions associated with USSGL accounts 719000 and 729000 

do not provide a standard means for recording gains and losses incurred on non-monetary transactions in the normal course of business. New 

standardized Transaction Codes are needed to account for gains/losses on unpaid obligations from the revaluation of foreign currency if there 

is a change in the foreign currency exchange rate between the time the funds are obligated, and the time the funds are disbursed. These TCs 

would be recorded immediately preceding the funds disbursement, rather than at the end of an accounting period. 

This scenario applies to FPAs with Treasury Accounts Symbols (TASs) that receive budgetary resources through appropriations, and must 

absorb any gains/losses from currency fluctuations within the TAS. FPAs with foreign currency fluctuation accounts that have legal authority 

to Transfer and Merge funding are addressed in a separate example and are excluded from this scenario. Those excluded TASs are: 

 Peace Corp (011X0101)

 American Battle Monuments Commission (074X0101) 

 Department of Defense (097X0801)

 Department of Defense (097X0803)
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New USSGL Transactions (Effective FY 2019) 

B450 To record a gain on current year unpaid obligations due to fluctuation of foreign currency exchange rates on a non-monetary transaction, 

where excess obligations due to the rate variance are deobligated at the time of disbursement.

Comment: Also post, reverse to USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbursement 

 (USSGL TC B110).

Budgetary Entry Proprietary Entry

Debit 490100 Delivered Orders – Obligations, Unpaid Debit 211000 Accounts Payable

 Credit 445000 Unapportioned Authority Credit 719000 Other Gains 

 Credit 451000 Apportionments 

 Credit 461000 Allotments – Realized Resources 

Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign currency fluctuation of nonmonetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when the value of the foreign currency 

exchange rate decreases in relation to the US Dollar between the time the funds are obligated and the time the funds are disbursed. Excess obligations need 

to be deobligated and a gain needs recognized. 

B452 To record a loss on current year unpaid obligations due to fluctuation of foreign currency exchange rates on non-monetary transaction, 

where additional US equivalent dollars are obligated to cover the rate variance at the time of disbursement.

Comment: Also post USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbursement (USSGL TC 

 B110). 

Budgetary Entry Proprietary Entry

Debit 461000 Allotments – Realized Resources Debit 729000 Other Losses 

 Credit 490100 Delivered Orders – Obligations, Unpaid Credit 211000 Accounts Payable 

Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign currency fluctuation of 

non-monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when the value of the foreign 

currency exchange rate increases in relation to the US Dollar between the time the funds are obligated and the time the funds are disbursed. Additional 

US Dollar funds need to be obligated to cover differences, and a loss needs recorded.
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D618 To record a gain on prior-year unpaid obligations due to fluctuation of foreign currency exchange rates on a non-monetary transaction, 

where excess obligations of a prior year are adjusted downward due to the rate variance at the time of disbursement.

Comment: Prior-year adjustments are used only in Year 2 or later. Record USSGL account 465000 if the authority has expired. Also post 

 reverse to USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbursement (USSGL TC 

 B110).

Budgetary Entry

Debit 497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, Recoveries

 Credit 445000 Unapportioned Authority

 Credit 451000 Apportionments

 Credit 461000 Allotments – Realized Resources

 Credit 465000 Allotments – Expired Authority

Proprietary Entry

Debit 211000 Accounts Payable

 Credit 719000 Other Gains

Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign currency fluctuation of 

non-monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when the value of the foreign 

currency exchange rate decreases in relation to the US Dollar between the time the funds are obligated and the time the funds are disbursed. Excess 

obligations need to be deobligated and a gain needs recognized.

D626 To record a loss on prior-year unpaid obligations due to fluctuation of foreign currency exchange rates on a non-monetary transaction, 

where excess obligations of a prior year are adjusted upward due to the rate variance at the time of disbursement.

Comment: Prior-year adjustments are used only in Year 2 or later. Record USSGL account 465000 if the authority has expired. Also post 

 USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbursement (USSGL TC B110).

Budgetary Entry

Debit 461000 Allotments – Realized Resources

Debit 465000 Allotments – Expired Authority

 Credit 498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, Unpaid

Proprietary Entry

Debit 729000 Other Losses

 Credit 211000 Accounts Payable
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Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign currency fluctuation of 

non-monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when the value of the foreign 

currency exchange rate increases in relation to the US Dollar between the time the funds are obligated and the time the funds are disbursed. Additional 

US Dollar funds need to be obligated to cover differences, and a loss needs recorded.

Listing of USSGL Accounts Used in This Scenario

Account Number Account Title

Budgetary

411900 Other Appropriations Realized

420100 Total Actual Resources – Collected 

445000 Unapportioned Authority

451000 Apportionments

461000 Allotments – Realized Resources

465000 Allotments – Expired Authority

480100 Undelivered Orders – Obligations, Unpaid

490100 Delivered Orders – Obligations, Unpaid

490200 Delivered Orders – Obligations, Paid

497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, Recoveries

498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, Unpaid

Proprietary

101000 Fund Balance with Treasury

211000 Accounts Payable

310000 Unexpended Appropriations – Cumulative 

310100 Unexpended Appropriations – Appropriations Received

310700 Unexpended Appropriations – Used 

331000 Cumulative Results of Operations

570000 Expended Appropriations

610000 Operating Expenses/Program Costs

719000 Other Gains

729000 Other Losses
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Scenario Assumptions

The following overall assumptions are applicable to both the gain and the loss scenarios reflected in the transactions below:

• In Year 1, the FPA entered into an agreement to purchase supplies for 900,000 Euros (EUR) from a foreign entity based on the foreign 

entity’s currency Euro exchange rate. 

• Obligations are posted in the FPA’s accounting system at the value of the US Dollar (USD). 

• At the time of agreement, the foreign currency exchange rate is 1 EUR = 1.12 USD. 

• In Year 1, the FPA obligated $1,008,000 in appropriated funds, with a foreign currency exchange rate of 1.12 USD (900,000 EUR x 

1.12). 

• Unobligated funds remaining at the end of Year 1 expire as of September 30th. 

• The FPA has Definite Budget Authority.

• Beginning Trial Balances are not applicable in these scenarios. 

 
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Scenario 1 – Gain on Foreign Currency Fluctuation
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Year 1

Illustrative Transactions

In the following transactions, a FPA creates current-year orders without an advance with a foreign vendor, who uses Euros as currency. The 

FPA must convert the value of US Dollar to the Euro. When goods are delivered, the FPA records the delivery and accrues an accounts payable. 

Before the FPA can disburse a payment to the foreign vendor, it identifies that the foreign exchange rate has changed. After the goods were 

obligated, the value of the US Dollar increases (and the exchange rate in the value of foreign currency decreases.) Thus, the value of the goods 

at the time of obligation was higher than the value at the time of disbursement. Excess obligations will need to be deobligated and a gain will 

need to be recognized. Because the gain is recognized at the time of disbursement, this gain is also posted immediately preceding the 

disbursement.

1-1 To record the enactment of appropriations.

DR CR TC

Budgetary Entry

411900 Other Appropriations Realized 

 445000 Unapportioned Authority 

Proprietary Entry

101000 Fund Balance with Treasury

 310100 Unexpended Appropriations – Appropriations Received

5,000,000 

5,000,000 

5,000,000 

5,000,000 

A104 

1-2 To record budgetary authority apportioned by the Office of Management and Budget and available for allotment.

DR CR TC

Budgetary Entry

445000 Unapportioned Authority 

 451000 Apportionments 

Proprietary Entry

None 

5,000,000 

5,000,000 

A116 
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1-3 To record the allotment of authority.

DR CR TC

Budgetary Entry

451000 Apportionments 

 461000 Allotments – Realized Resources

Proprietary Entry

None 

5,000,000 

5,000,000 

A120 

1-4 To record current-year undelivered orders without an advance.

DR CR TC

Budgetary Entry

461000 Allotments – Realized Resources

 480100 Undelivered Orders – Obligations, Unpaid

Proprietary Entry

None 

1,008,000 

1,008,000 

B306 

900,000 EUR order x 1.12 USD exchange rate = $ 1,008,000 Undelivered Order

 
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1-5 The agency receives delivery of goods and accrues a liability for 75% of the obligated balance on the agreement. It records the 

delivery of goods and accrues an accounts payable. 

DR CR TC

Budgetary Entry

480100 Undelivered Orders – Obligations, Unpaid 

 490100 Delivered Orders – Obligations, Unpaid 

Proprietary Entry

610000 Operating Expenses/Program Costs 

 211000 Accounts Payable 

310700 Unexpended Appropriations – Used 

 570000 Expended Appropriations 

756,000 

756,000 

756,000 

756,000 

756,000 

756,000 

B402 

B134 

$ 1,008,000 Obligation x 75% delivery of obligation = $ 756,000 accrual.
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1-6 The FPA records a gain on current-year unpaid obligations due to the fluctuation of foreign currency exchange rates on a nonmonetary transaction, in which excess obligations due to the rate of variance are deobligated at the time of disbursement. 

DR CR TC

Budgetary Entry

490100 Delivered Orders – Obligations, Unpaid 

 461000 Allotments – Realized Resources

Proprietary Entry

211000 Accounts Payable 

 719000 Other Gains 

570000 Expended Appropriations 

 310700 Unexpended Appropriations – Used 

47,250 

47,250 

47,250 

47,250 

47,250 

47,250 

B450 

B134R 

At the time of obligation, the foreign currency exchange rate was (1 EUR = 1.12 USD).

At the time of disbursement, the foreign currency exchange rate has changed to (1 EUR = 1.05 USD). 

A Gain of $ 47,250 is recognized due to the increased USD value, and the decreased value of the EUR rate previously obligated, using the following formula:

Gain = Value of obligation (1 EUR = 1.12 USD) – Value of obligation at time of disbursement (1 EUR = 1.05 USD)

Gain = $ 756,000 Accrual at 1.12 USD – (900,000 EUR x 1.05 USD x 75% delivery of Obligation)

Gain = $ 756,000 - $ 708,750 = $ 47,250

1-7 The FPA records a confirmed disbursement previously accrued.

DR CR TC

Budgetary Entry

490100 Delivered Orders – Obligations, Unpaid 

 490200 Delivered Orders – Obligations, Paid 

Proprietary Entry

211000 Accounts Payable 

 101000 Fund Balance with Treasury 

708,750 

708,750 

708,750 

708,750 

B110 
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1-8 The FPA receives delivery on and accrues a liability for the 25% remaining outstanding balance on the obligated balance on the 

agreement. It records the delivery of goods and accrues an accounts payable. The disbursement of funds will take place in Year 2.

DR CR TC

Budgetary Entry

480100 Undelivered Orders – Obligations, Unpaid 

 490100 Delivered Orders – Obligations, Unpaid 

Proprietary Entry

610000 Operating Expenses/Program Costs 

 211000 Accounts Payable 

310700 Unexpended Appropriations – Used 

 570000 Expended Appropriations 

252,000 

252,000 

252,000 

252,000 

252,000 

252,000 

B402 

B134 

The Obligation was originally recorded at 900,000 EUR with an exchange rate of 1.12 USD = $ 1,008,000 Obligation.

25% of the original obligation was not yet delivered until this point.

Upon delivery of the remaining 25% of the $ 1,008,000 Obligation balance, the FPA accrues $ 252,000. 

$ 1,008,000 Obligation x 25% = $252,000 accrual.
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Year 1 Pre-Closing Adjusted Trial Balance

USSGL Account Debit Credit

Budgetary

411900 Other Appropriations Realized 5,000,000

461000 Allotments – Realized Resources - 4,039,250

480100 Undelivered Orders – Obligations, Unpaid 708,750 -

490100 Delivered Orders – Obligations, Unpaid - 960,750

490200 Delivered Orders – Obligations, Paid - 708,750

TOTAL 5,708,750 5,708,750

Proprietary

101000 Fund Balance with Treasury 4,291,250 -

211000 Accounts Payable - 252,000

310100 Unexpended Appropriations – Appropriations Received - 5,000,000

310700 Unexpended Appropriations – Used 960,750 -

570000 Expended Appropriations - 960,750

610000 Operating Expenses/Program Costs 1,008,000 -

719000 Other Gains - 47,250

TOTAL 6,260,000 6,260,000
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Year 1 Closing Entries

1-9 To record the consolidation of actual net-funded resources.

DR CR TC

Budgetary Entry

420100 Total Actual Resources Collected

 411900 Other Appropriations Realized 

Proprietary Entry

None 

5,000,000 

5,000,000 F302 

1-10 To record the closing of unobligated balances to expiring authority.

DR CR TC

Budgetary Entry

461000 Allotments – Realized Resources

 465000 Allotments – Expired Authority 

Proprietary Entry

None 

4,039,250 

4,039,250 F312 

1-11 To record the closing of paid delivered orders to total actual resources.

DR CR TC

Budgetary Entry

490200 Delivered Orders – Obligations, Paid 

 420100 Total Actual Resources – Collected

Proprietary Entry

None 

708,750 

708,750 F314 
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1-12 To record the closing of fiscal-year activity to unexpended appropriations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

310100 Unexpended Appropriations – Appropriations Received

 310000 Unexpended Appropriations – Cumulative 

310000 Unexpended Appropriations- Cumulative 

 310700 Unexpended Appropriations- Used

5,000,000 

 960,750 

5,000,000 

 960,750 

F342 

1-13 To record the closing of operating expenses/program costs to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

331000 Cumulative Results of Operations

570000 Expended Appropriations 

 331000 Cumulative Results of Operations 

 610000 Operating Expenses/Program Costs 

1,008,000 

960,750 

 960,750 

 1,008,000 

F336 

1-14 To record the closing of other gains to cumulative results of operations

DR CR TC

Budgetary Entry

None 

Proprietary Entry

719000 Other Gains 

 331000 Cumulative Results of Operations 

47,250 

47,250 

F338 
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Year 1 Post-Closing Adjusted Trial Balance

USSGL Account Debit Credit

Budgetary

420100 Total Actual Resources – Collected 4,291,250 -

465000 Allotments – Expired Authority - 4,039,250

480100 Undelivered Orders – Obligations, Unpaid 708,750 -

490100 Delivered Orders – Obligations, Unpaid - 906,750

TOTAL 5,000,000 5,000,000

Proprietary

101000 Fund Balance with Treasury 4,291,250 -

211000 Accounts Payable - 252,000

310000 Unexpended Appropriations – Cumulative - 4,039,250

TOTAL 4,291,250 4,291,250
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Financial Statements – Year 1

BALANCE SHEET – YEAR 1

Assets:

1. Fund Balance with Treasury (101000E) 4,291,250

15. Total Assets (calc. 6 through 14) 4,291,250

Liabilities:

21. Accounts Payable (211000E) 252,000

28. Total Liabilities (calc. 20 through 27) 252,000

Net Position:

31. Unexpended Appropriations – All Other Funds (310100E, 310700E) 4,039,250

33. Cumulative Results of Operations (331000E) -

35. Total Net Position- All Other Funds (calc. 31 through 33) 4.039,250

36. Total Net Position (calc. 34 + 35) 4,039,250

37. Total Liabilities and Net Position (calc. 28 + 36) 4,291,250

STATEMENT OF NET COST – YEAR 1

Gross Program Costs:

1. Gross Costs (610000 E) 1,008,000

2. Less: earned revenue (719000 E) (47,250)

3. Net Program Costs (calc.) 960,750

5. Net Program Costs including Assumption Changes (calc.) 960,750

8. Net Cost of Operations (calc.) 960,750
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STATEMENT OF CHANGES IN NET POSITION – YEAR 1

Unexpended Appropriations

Beginning Balance:

1. Unexpended Appropriations – Cumulative -

3. Beginning Balance, as adjusted (calc.) -

4. Appropriations Received (310100 E) 5,000,000

7. Appropriations Used (310700 E) (960,750)

8. Total Budgetary Financing Sources (calc.) 4,039,250

9. Total Unexpended Appropriations (calc.) 4,039,250

Cumulative Results of Operations:

Beginning Balance: 

10. Cumulative Results of Operations -

12. Beginning Balance, as adjusted -

Budgetary Financing Sources:

14. Appropriations Used (570000E) 960,750

23. Total Financing Sources (calc.) 960,750

24. Net Cost of Operations (+/-) (960,750)

25. Net Change (calc.) -

26. Cumulative Results of Operations (calc.) -

27. Net Position (calc.) 4,039,250
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STATEMENT OF BUDGETARY RESOURCES – YEAR 1

Budgetary Resources:

1290 Appropriations (discretionary and mandatory) (411900E) 5,000,000

1910 Total Budgetary Resources (calc. SBR Lines 1051+1290+1490+1690+1890) 5,000,000

Status of Budgetary Resources:

2190 New obligations and upward adjustments (total) (480100E, 490100E, 490200E) 960,750

Unobligated balance, end of year:

2204 Apportioned, unexpired account (461000E) 4,039,250

2412 Unexpired unobligated balance, end of year (calc. SBR Lines 2204 + 2304 + 2404) 4,039,250

2490 Unobligated balance, end of year (total) (calc. SBR Lines 2204, 2304, 2404, & 2413) 4,039,250

2500 Total budgetary resources (calc. SBR Lines 2190 + 2490) 5,000,000

Outlays, Net:

4190 Outlays, net (total) (discretionary and mandatory) (490200E) 708,750

4210 Agency outlays, net (discretionary and mandatory) 708,750
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SF 133: Report on Budget Execution and Budgetary Resources &

Budget Program and Financing Schedule (Schedule P) – YEAR 1

SF 133 Schedule P

BUDGETARY RESOURCES

All accounts:

0900 Total new obligations, unexpired accounts (480100E, 490100E, 490200E) - 960,750

Budget authority:

Appropriations:

Discretionary:

1100 Appropriation (411900E) 5,000,000 5,000,000

1160 Appropriations, discretionary (total) (calc. Lines 1100-1153) 5,000,000 5,000,000

1900 Budget authority (total) 5,000,000 5,000,000

1910 Total budgetary resources 5,000,000 -

1930 Total budgetary resources available - 5,000,000

Memorandum (non-add) entries:

All accounts:

1940 Unobligated balance expiring (-) (465000E) - (4,039,250)

STATUS OF BUDGETARY RESOURCES

New obligations and upward adjustments:

Direct:

2001 Category A (by quarter) (480100E, 490100E, 490200E) 960,750 -

2004 Direct obligations (total) (calc. Lines 2001 - 2003) 960,750 -

2170 New obligations, unexpired accounts (480100E, 490100E, 490200E) 960,750 -

2190 New obligations and upward adjustments (total) (calc. Lines 2170 + 2180) 960,750 -

Unobligated balance:

Apportioned, unexpired accounts:

2201 Available in the current period (461000E) 4,039,250 -
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2412 Unexpired unobligated balance, end of year 4,039,250 -

2490 Unobligated balance, end of year (total) 4,039,250 -

2500 Total budgetary resources (calc. Lines 2001 - 2403, and 2413) 5,000,000 -

CHANGE IN OBLIGATED BALANCE

Unpaid obligations:

3010 New obligations, unexpired accounts (480100E, 490100E, 490200E) 960,750 960,750

3020 Outlays (gross) (-) (490200E) (708,750) (708,750)

3050 Unpaid obligations, end of year (480100E, 490100E) 252,000 252,000

3100 Obligated balance, start of the year (calc. Lines 3000, 3001, 3060 and 3061) - -

3200 Obligated balance, end of year (+ or -) 252,000 252,000

BUDGET AUTHORITY AND OUTLAYS, NET

Discretionary:

Gross budget authority and outlays:

4000 Budget authority, gross 5,000,000 5,000,000

4010 Outlays from new discretionary authority (490200E) 708,750 708,750

4020 Outlays, gross (total) (calc. 4010 + 4011) 708,750 708,750

4070 Budget authority, net (discretionary) 5,000,000 5,000,000

4080 Outlays, net (discretionary) 708,750 708,750

Budget authority and outlays, net (total):

4180 Budget authority, net (total) (calc. Lines 4070 and 4160) 5,000,000 5,000,000

4190 Outlays, net (total) (calc. Lines 4080 and 4170) 708,750 708,750
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Year 2

Illustrative Transactions

During Year 2, the FPA is ready to disburse funds to the foreign vendor for expenses incurred in Year 1.

Before the FPA disburses the payment to the foreign vendor, it identifies that the foreign exchange rate has changed from the time of obligation 

in Year 1. After the goods were obligated with Year 1 Budgetary Authority, the value of the US Dollar increased (and the exchange rate in the 

value of foreign currency decreased.) Thus, the value of the goods at the time of obligation was higher than the value at the time of disbursement. 

Excess obligations will need to be deobligated, and a gain and downward adjustment will need to be recognized. Because the gain is recognized 

at the time of disbursement, this gain and downward adjustment are posted immediately preceding the disbursement.

2-1 To record a gain on a prior-year unpaid obligation due to fluctuation of foreign currency exchange rates on a non-monetary 

transaction, where excess obligations of a prior-year are adjusted downward due to the rate variance at the time of disbursement. 

DR CR TC

Budgetary Entry

497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – 

Obligations, Recoveries 

 465000 Allotments – Expired Authority 

Proprietary Entry

211000 Accounts Payable 

 719000 Other Gains 

570000 Expended Appropriations 

 310700 Unexpended Appropriations – Used 

4,500 

4,500 

4,500 

4,500 

4,500 

4,500 

D618 

B134R 

At the time of obligation, the foreign currency exchange rate was (1 EUR = 1.12 USD).

At the time of disbursement in Year 2, the foreign currency exchange rate has changed to (1 EUR = 1.10 USD).

A $4,500 Gain and Downward Adjustment are recognized due to the increased value of the USD, and the decreased value of the EUR rate previously obligated, 

using the following formula:

Gain = Value of obligation (1 EUR = 1.12 USD) – Value of obligation at time of disbursement (1 EUR = 1.10 USD)

Gain = $252,000 Accrual at 1.12 USD – (900,000 EUR x 1.10 USD x 25% delivery of Obligation)

Gain = $252,000 - $247,500 = $4,500. 
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2-2 To record a confirmed disbursement schedule previously accrued.

DR CR TC

Budgetary Entry

490100 Delivered Orders – Obligations, Unpaid 

 490200 Delivered Orders – Obligations, Paid 

Proprietary Entry

211000 Accounts Payable 

 101000 Fund Balance with Treasury 

247,500 

247,500 

247,500 

247,500 

B110 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 25 of 61

 FY 2019 

Year 2 Pre-Closing Adjusted Trial Balances

USSGL Accounts Debit Credit

Budgetary

420100 Total Actual Resources – Collected 4,291,250 -

465000 Allotments – Expired Authority - 4,043,750

480100 Undelivered Orders – Obligations, Unpaid 708,750 -

490100 Delivered Orders – Obligations, Unpaid - 713,250

490200 Delivered Orders – Obligations, Paid - 247,500

497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, 

Recoveries

4,500 -

TOTAL 5,004,500 5,004,500

Proprietary

101000 Fund Balance with Treasury 4,043,750 -

310000 Unexpended Appropriations – Cumulative - 4,039,250

310700 Unexpended Appropriations – Used - 4,500

570000 Expended Appropriations 4,500 -

610000 Operating Expenses/Program Costs - -

719000 Other Gains - 4,500

TOTAL 4,048,250 4,048,250
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 26 of 61

 FY 2019 

Year 2 Closing Entries

2-3 To record the closing of paid delivered orders to total actual resources.

DR CR TC

Budgetary Entry

490200 Delivered Orders – Obligations, Paid 

 420100 Total Actual Resources – Collected

Proprietary Entry

None 

247,500 

247,500 F314 

2-4 To record the closing of downward adjustments to prior-year unpaid delivered orders - obligations, recoveries.

DR CR TC

Budgetary Entry

490100 Delivered Orders – Obligations, Unpaid 

 497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – 

Obligations, Recoveries 

Proprietary Entry

None 

4,500 

 4,500 

F325 

2-5 To record the closing of fiscal-year activity to unexpended appropriations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

310700 Unexpended Appropriations – Used 

 310000 Unexpended Appropriations – Cumulative 

4,500 

4,500 

F342 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 27 of 61

 FY 2019 

2-6 To record the closing of expended appropriations to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

331000 Cumulative Results of Operations

 570000 Expended Appropriations

4,500 

4,500

F336 

2-7 To record the closing of other gains to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

719000 Other Gains 

 331000 Cumulative Results of Operations 

4,500 

4,500 F338 

Year 2 Post-Closing Adjusted Trial Balances

USSGL Accounts Debit Credit

Budgetary

420100 Total Actual Resources – Collected 4,043,750 -

465000 Allotments – Expired Authority - 4,043,750

480100 Undelivered Orders – Obligations, Unpaid 708,750 -

490100 Delivered Orders – Obligations, Unpaid - 708,750

TOTAL 4,752,500 4,752,500

Proprietary

101000 Fund Balance with Treasury 4,043,750 -

310000 Unexpended Appropriations – Cumulative - 4,043,750

TOTAL 4,043,750 4,043,750
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 28 of 61

 FY 2019 

Financial Statements – Year 2

BALANCE SHEET – YEAR 2

Assets:

 1. Fund Balance with Treasury (101000E) 4,043,750

 15. Total Assets (calc. 6 through 14) 4,043,750

Liabilities:

 28. Total Liabilities (calc. 20 through 27) -

Net Position:

 31. Unexpended Appropriations – All Other Funds (310000E, 310700E) 4,043,750

 33. Cumulative Results of Operations- All Other Funds (331000E) -

 35. Total Net Position – All Other Funds (calc.) 4,043,750

 36. Total Net Position (calc.) 4,043,750

 37. Total Liabilities and Net Position (calc.) 4,043,750

STATEMENT OF NET COST – YEAR 2

Gross Program Costs:

2. Less: Other Gains (719000E) (4,500)

3. Net Program Costs (calc.) (4,500)

5. Net Program Costs including Assumption Changes (calc.) (4,500)

8. Net Cost of Operations (calc.) (4,500)
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 29 of 61

 FY 2019 

STATEMENT OF CHANGES IN NET POSITION – YEAR 2

Unexpended Appropriations

Beginning Balance:

1. Unexpended Appropriations – Cumulative (310000B) 4,039,250

3. Beginning Balance, as Adjusted (calc.) 4,039,250

7. Appropriations Used (310700 E) 4,500

8. Total Budgetary Financing Sources (calc.) 4,500

9. Total Unexpended Appropriations (calc.) 4,043,750

Cumulative Results of Operations:

Beginning Balance: 

10. Cumulative Results of Operations -

12. Beginning Balance, as adjusted -

Budgetary Financing Sources:

14. Appropriations Used (570000E) 4,500

23. Total Financing Sources (calc.) 4,500

24. Net Cost of Operations (+/-) (4,500)

25. Net Change (calc.) -

26. Cumulative Results of Operations (calc.) -

27. Net Position (calc.) 4,043,750
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 30 of 61

 FY 2019 

STATEMENT OF BUDGETARY RESOURCES – YEAR 2

Budgetary Resources:

1051 Unobligated balance from prior year budget authority, net (420100B) 4,291,250

1910 Total Budgetary Resources (calc. SBR Lines 1051+1290+1490+1690+1890) 4,291,250

Status of Budgetary Resources:

2190 New obligations and upward adjustments (total) (480100, 490100, 490200E, & 497100E) 247,500

Unobligated balance, end of year:

2413 Expired unobligated balance, end of year (465000E) 4,043,750

2490 Unobligated balance, end of year (total) (calc. SBR Lines 2204, 2304, 2404, & 2413) 4,043,750

2500 Total budgetary resources (calc. SBR Lines 2190 + 2490) 4,291,250

Outlays, Net:

4190 Outlays, net (total) (discretionary and mandatory) (490200E) 247,500

4210 Agency outlays, net (discretionary and mandatory) 247,500
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 31 of 61

 FY 2019 

SF 133: Report on Budget Execution and Budgetary Resources & 

Budget Program and Financing Schedule (Schedule P) – YEAR 2

SF 133 Schedule P

BUDGETARY RESOURCES

Unobligated balance:

1000 Unobligated balance brought forward, Oct 1 (420100B) 4,291,250 -

Budget authority:

Appropriations:

Discretionary:

1900 Budget authority (total) 4,291,250 -

1910 Total budgetary resources 4,291,250 -

1930 Total budgetary resources available - -

Memorandum (non-add) entries:

All accounts:

1940 Unobligated balance expiring (-) - -

STATUS OF BUDGETARY RESOURCES

New obligations and upward adjustments:

2001 Category A (by quarter) (480100E, 490100E, 490200E) 247,500 -

2004 Direct obligations (total) (calc. Lines 2001 - 2003) 247,500 -

2180 Obligations (“upward adjustments”), expired accounts (480100E, 490100E, 490200E, & 

497100E)

247,500 -

2190 New obligations and upward adjustments (total) 247,500 -

Unobligated balance:

Expired accounts

2413 Expired unobligated balance, end of year (465000E) 4,043,750 -

2490 Unobligated balance, end of year 4,043,750 -

2500 Total budgetary resources (calc. Lines 2001 through 2403, and 2413) 4,291,250 -
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019

Page 32 of 61

FY 2019

CHANGE IN OBLIGATED BALANCE

Unpaid obligations:

3000 Unpaid obligations, brought forward, Oct 1 (480100B, 490100B) 252,000 252,000

3001 Adjustments to unpaid obligations, brought forward, Oct 1 (497100E) (4,500) (4,500)

3010 New obligations, unexpired accounts (480100E, 490200E) - -

3020 Outlays (gross) (-) (490200E) 247,500 247,500

3050 Unpaid obligations, end of year (480100E, 490100E, 497100E) - -

3100 Obligated balance, start of the year (calc. Lines 3000, 3001, 3060 and 3061) 252,000 252,000

3200 Obligated balance, end of year (calc.) - -

BUDGET AUTHORITY AND OUTLAYS, NET

Discretionary:

Gross budget authority and outlays:

4011 Outlays from discretionary balances (490200E) 247,500 247,500

4020 Outlays, gross (total) (calc. 4010 + 4011) 247,500 247,500

 4080 Outlays, net (discretionary) 247,500 247,500

Budget authority and outlays, net (total):

4180 Budget authority, net (total) (calc. Lines 4070 + 4160) - -

4190 Outlays, net (total) (calc. Lines 4080 + 4170) 247,500 247,500
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 33 of 61

 FY 2019 

Reclassified Financial Statements

RECLASSIFIED BALANCE SHEET

1 Assets

3 Federal

3.1 Fund balance with Treasury (101000E) 4,043,750

3.14 Total federal assets 4,043,750

4 Total assets (calc.) 4,043,750

5 Liabilities -

8 Total liabilities (calc.) -

9 Net position:

9.2 Net position – funds other than those from dedicated collections (310000E) 4,043,750

10 Total net position (calc.) 4,043,750

11 Total liabilities and net position (calc.) 4,043,750

RECLASSIFIED STATEMENT OF NET COST

10 Earned Revenue

11 Non-federal earned revenue (719000N) (4,500)

13 Total federal earned revenue (calc.) (4,500)

14 Department total earned revenue (calc.) (4,500)

15 Net cost of operations (calc.) (4,500)
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 34 of 61

 FY 2019 

RECLASSIFIED STATEMENT OF OPERATIONS AND CHANGES IN NET POSITION

1 Net position, beginning of period 4,039,250

7 Budgetary financing sources:

7.2 Appropriations used (310700E) 4,500

7.3 Appropriations expended (570000E) (4,500)

7.20 Total budgetary financing sources (calc.) -

9 Net cost of operations (+/-) (4,500)

10 Net position, end of period 4,043,750
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019

Page 35 of 61

FY 2019

Scenario 2 – Loss on Foreign Currency Fluctuation
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 36 of 61

 FY 2019 

Year 1

Illustrative Transactions

In the following transactions, a Federal Program Agency (FPA) creates current-year orders without an advance with a foreign vendor, who uses 

Euros as currency. The FPA must convert the value of US Dollar to the Euro. When goods are delivered, the FPA records the delivery and 

accrues an accounts payable.

Before the FPA can disburse a payment to the foreign vendor, it identifies that the foreign exchange rate has changed. After the goods were 

obligated, the value of the US Dollar decreases (and the exchange rate in the value of foreign currency increases.) Thus, the value of the goods 

at the time of obligation was lower than the value at the time of disbursement. Additional US Dollar funds will need to be obligated to cover 

the difference, and a loss will need to be recognized. Because the loss is recognized at the time of disbursement, this loss is also posted 

immediately preceding the disbursement.

1-1 To record the enactment of appropriations.

DR CR TC

Budgetary Entry

411900 Other Appropriations Realized 

 445000 Unapportioned Authority 

Proprietary Entry

101000 Fund Balance with Treasury 

 310100 Unexpended Appropriations – Appropriations Received

5,000,000 

5,000,000 

5,000,000 

5,000,000 

A104 

1-2 To record budgetary authority apportioned by the Office of Management and Budget and available for allotment.

DR CR TC

Budgetary Entry

445000 Unapportioned Authority 

 451000 Apportionments 

Proprietary Entry

None 

5,000,000 

5,000,000 A116 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 37 of 61

 FY 2019 

1-3 To record the allotment of authority.

DR CR TC

Budgetary Entry

451000 Apportionments 

 461000 Allotments – Realized Resources

Proprietary Entry

None 

5,000,000 

5,000,000 A120 

1-4 To record current-year undelivered orders without an advance.

DR CR TC

Budgetary Entry

461000 Allotments – Realized Resources

 480100 Undelivered Orders – Obligations, Unpaid

Proprietary Entry

None 

1,008,000 

1,008,000 B306 

900,000 EUR Order x 1.12 USD exchange rate = $ 1,008,000 Undelivered Order
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 38 of 61

 FY 2019 

1-5 The FPA receives delivery on and accrues a liability for 75% of the obligated balance on the agreement. It records the delivery of 

goods and accrues an accounts payable. 

DR CR TC

Budgetary Entry

480100 Undelivered Orders – Obligations, Unpaid 

 490100 Delivered Orders – Obligations, Unpaid 

Proprietary Entry

610000 Operating Expenses/Program Costs 

 211000 Accounts Payable 

310700 Unexpended Appropriations – Used 

 570000 Expended Appropriations 

756,000 

756,000 

756,000 

756,000 

756,000 

756,000 

B402 

B134 

$1,008,000 Obligation x 75% delivery of Obligation = $ 756,000 accrual.
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 39 of 61

 FY 2019 

1-6 To record a loss on a prior-year unpaid obligation due to fluctuation of foreign currency exchange rates on a non-monetary 

transaction, where excess obligations of a prior-year are adjusted upward due to the rate variance at the time of disbursement. 

DR CR TC

Budgetary Entry

461000 Allotments – Realized Resources

 490100 Undelivered Orders – Obligations, Unpaid

Proprietary Entry

729000 Other Losses 

 211000 Accounts Payable 

310700 Unexpended Appropriations – Used 

 570000 Expended Appropriations

20,250 

20,250 

20,250 

20,250 

20,250 

20,250

B452 

B134 

At the time of obligation, the foreign currency exchange rate was (1 EUR = 1.12 USD).

At the time of disbursement, the foreign currency exchange rate has changed to (1 EUR = 1.15 USD). 

A Loss of $20,250 is recognized due to the decreased USD value, and the increased value of the EUR rate previously obligated, using the following formula:

Loss = Value of obligation (1 EUR = 1.12 USD) – Value of obligation at time of disbursement (1 EUR = 1.15 USD)

Loss = $ 756,000 Accrual at 1.12 USD – (900,000 EUR x 1.15 USD x 75% delivery of Obligation)

Loss = $ 756,000 - $ 776,250 = $ 20,250.

1-7 To record a confirmed disbursement schedule previously accrued.

DR CR TC

Budgetary Entry

490100 Delivered Orders – Obligations, Unpaid 

 490200 Delivered Orders – Obligations, Paid 

Proprietary Entry

211000 Accounts Payable 

 101000 Fund Balance with Treasury 

776,250 

776,250 

776,250 

776,250 

B110 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 40 of 61

 FY 2019 

1-8 The FPA receives delivery on and accrues a liability for the remaining outstanding balance on the obligated balance on the 

agreement. It records the delivery of goods and accrue an accounts payable. 

DR CR TC

Budgetary Entry

480100 Undelivered Orders – Obligations, Unpaid 

 490100 Delivered Orders – Obligations, Unpaid 

Proprietary Entry

610000 Operating Expenses/Program Costs 

 211000 Accounts Payable 

310700 Unexpended Appropriations – Used 

 570000 Expended Appropriations 

252,000 

252,000 

252,000 

252,000 

252,000 

252,000 

B402 

B134 

The Obligation was originally recorded at 900,000 EUR with an exchange rate of 1.12 USD = $ 1,008,000 Obligation.

25% of the original obligation was not yet delivered until this point.

Upon delivery of the remaining 25% of the $ 1,008,000 Obligation balance, the FPA accrues $ 252,000.

$ 1,008,000 Obligation x 25% = $ 252,000 accrual.
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 41 of 61

 FY 2019 

Year 1 Pre-Closing Adjusted Trial Balance

USSGL Accounts Debit Credit

Budgetary

411900 Other Appropriations Realized 5,000,000 -

461000 Allotments – Realized Resources - 3,971,750

490100 Delivered Orders – Obligations, Unpaid - 252,000

490200 Delivered Orders – Obligations, Paid - 776,250

TOTAL 5,000,000 5,000,000

Proprietary

101000 Fund Balance with Treasury 4,223,750 -

211000 Accounts Payable - 252,000

310100 Unexpended Appropriations – Appropriations Received - 5,000,000

310700 Unexpended Appropriations – Used 1,028,250 -

570000 Expended Appropriations - 1,028,250

610000 Operating Expenses/Program Costs 1,008,000 -

729000 Other Losses 20,250 -

TOTAL 6,280,250 6,280,250
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 42 of 61

 FY 2019 

Year 1 Closing Entries

1-9 To record the consolidation of actual net-funded resources.

DR CR TC

Budgetary Entry

420100 Total Actual Resources Collected

 411900 Other Appropriations Realized 

Proprietary Entry

None 

5,000,000 

5,000,000 

F302 

1-10 To record the closing of unobligated balances to expiring authority.

DR CR TC

Budgetary Entry

461000 Allotments – Realized Resources

 465000 Allotments – Expired Authority 

Proprietary Entry

None 

3,971,750 

3,971,750 

F312 

1-11 To record the closing of paid delivered orders to total actual resources.

DR CR TC

Budgetary Entry

490200 Delivered Orders – Obligations, Paid 

 420100 Total Actual Resources – Collected

Proprietary Entry

None 

776,250 

776,250 

F314 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 43 of 61

 FY 2019 

1-12 To record the closing of fiscal-year activity to unexpended appropriations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

310100 Unexpended Appropriations – Appropriations Received

 310000 Unexpended Appropriations – Cumulative 

 

310000 Unexpended Appropriations – Cumulative 

 310700 Unexpended Appropriations - Used

5,000,000 

1,028,250 

5,000,000 

1,028,250 

F342 

1-13 To record the closing of operating expenses/program costs and expended appropriations to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

331000 Cumulative Results of Operations

570000 Expended Appropriations 

 331000 Cumulative Results of Operations 

 610000 Operating Expenses/Program Costs 

1,008,000 

1,028,250 

1,028,250 

 1,008,000 

F336 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 44 of 61

 FY 2019 

1-14 To record the closing of other losses to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

331000 Cumulative Results of Operations 

 729000 Other Losses 

20,250 

20,250 

F340 

Year 1 Post-Closing Adjusted Trial Balance

USSGL Accounts Debit Credit

Budgetary

420100 Total Actual Resources – Collected 4,223,750 -

465000 Allotments – Expired Authority - 3,971,750

490100 Delivered Orders – Obligations, Unpaid - 252,000

TOTAL 4,223,750 4,223,750

Proprietary

101000 Fund Balance with Treasury 4,223,750 -

211000 Accounts Payable - 252,000

310000 Unexpended Appropriations – Cumulative - 3,971,750

TOTAL 4,223,750 4,223,750
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 45 of 61

 FY 2019 

Financial Statements – Year 1

BALANCE SHEET – YEAR 1

Assets:

 1. Fund Balance with Treasury (101000E) 4,223,750

 21. Total Assets (calc.) 4,223,750

Liabilities:

 17. Accounts Payable (211000E) 252,000

 28. Total Liabilities (calc.) 252,000

Net Position:

 31. Unexpended Appropriations – Appropriations Received (310000E) 3,971,750

 33. Cumulative Results of Operations -

 35. Total Net Position- All Other Funds (calc.) 3,971,750

 36. Total Net Position (calc.) 3,971,750

 37. Total Liabilities and Net Position (calc.) 4,223,750

STATEMENT OF NET COST – YEAR 1

Gross Program Costs:

1. Gross Costs (610000E, 729000N) 1,028,250

3. Net Program Costs (calc.) 1,028,250

5. Net Program Costs including Assumption Changes (calc.) 1,028,250

8. Net Cost of Operations (calc.) 1,028,250
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 46 of 61

 FY 2019 

STATEMENT OF CHANGES IN NET POSITION – YEAR 1

Unexpended Appropriations

Beginning Balance:

1. Unexpended Appropriations – Cumulative (310000B) -

3. Beginning Balance, as adjusted (calc. 1 through 2B) -

4. Appropriations Received (310100E) 5,000,000

7. Appropriations Used (310700E) (1,028,250)

8. Total Budgetary Financing Sources (calc. 4 through 7) 3,971,750

9. Total Unexpended Appropriations (calc.3+ 8) 3,971,750

Cumulative Results of Operations:

Beginning Balance: 

10. Cumulative Results of Operations (331000B) -

12. Beginning Balance, as adjusted -

Budgetary Financing Sources: -

14. Appropriations Used (570000E) 1,028,250

23. Total Financing Sources (calc. 13 through 22) 1,028,250

24. Net Cost of Operations (+/-) 1,028,250

25. Net Change (calc.) -

26. Cumulative Results of Operations (calc.) -

27. Net Position (calc.) 3,971,750
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 47 of 61

 FY 2019 

STATEMENT OF BUDGETARY RESOURCES – YEAR 1

Budgetary Resources:

1290 Appropriations (discretionary and mandatory) (411900E) 5,000,000

1910 Total Budgetary Resources (calc. SBR Lines 1051+1290+1490+1690+1890) 5,000,000

Status of Budgetary Resources:

2190 New obligations and upward adjustments (total) (480100E, 490100E. 490200E) 1,028,250

Unobligated balance, end of year:

2204 Apportioned, unexpired account (461000E) 3,971,750

2412 Unexpired unobligated balance, end of year (calc. SBR Lines 2204 + 2304 + 2404) 3,971,750

2490 Unobligated balance, end of year (total) (calc. SBR Lines 2204, 2304, 2404, & 2413) 3,971,750

2500 Total Status of Budgetary Resources (calc. SBR Lines 2190 + 2490) 5,000,000

Outlays, Net:

4190 Outlays, net (total) (discretionary and mandatory) (490200E) 776,250

4210 Agency outlays, net (discretionary and mandatory) 776,250
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 48 of 61

 FY 2019 

SF 133: Report on Budget Execution and Budgetary Resources & 

Budget Program and Financing Schedule (Schedule P) – YEAR 1

SF 133 Schedule P

BUDGETARY RESOURCES

All accounts:

0900 Total new obligations, unexpired accounts (480100E, 490100E, 490200E) - 1,028,250

Budget authority:

Appropriations:

Discretionary:

1100 Appropriation (411900E) 5,000,000 5,000,000

1160 Appropriations, discretionary (total) (calc. Lines 1100-1153) 5,000,000 5,000,000

1900 Budget authority (total) 5,000,000 5,000,000

1910 Total budgetary resources 5,000,000 -

1930 Total budgetary resources available - 5,000,000

Memorandum (non-add) entries:

All accounts:

1940 Unobligated balance expiring (-) (465000E) - (3,971,750)

STATUS OF BUDGETARY RESOURCES

New obligations and upward adjustments:

Direct:

2001 Category A (by quarter) (480100E, 490100E, 490200E, 498100E) 1,028,250 -

2004 Direct obligations (total) (calc. Lines 2001 - 2003) 1,028,250 -

2170 New obligations, unexpired accounts (480100E, 490100E, 490200E) 1,028,250 -

2190 New obligations and upward adjustments (total) (calc. Lines 2170 + 2180) 1,028,250 -

Unobligated balance:

Apportioned, unexpired accounts:

2201 Available in current period (461000E) 3,971,750 -
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019

Page 49 of 61

FY 2019

2412 Unexpired unobligated balance, end of year 3,971,750 -

Expired accounts

2490 Unobligated balance, end of year (total) 3,971,750 -

2500 Total budgetary resources (calc. Lines 2001 - 2403, and 2413) 5,000,000 -

CHANGE IN OBLIGATED BALANCE

Unpaid obligations:

3010 New obligations, unexpired accounts (480100E, 490100E, 490200E, 498100E) 1,028,250 1,028,250

3020 Outlays (gross) (-) (490200E) (776,250) (776,250)

3050 Unpaid obligations, end of year (480100E, 490100E) 252,000 252,000

3100 Obligated balance, start of the year (calc. Lines 3000, 3001, 3060 and 3061) - -

3200 Obligated balance, end of year 252,000 252,000

BUDGET AUTHORITY AND OUTLAYS, NET

Discretionary:

Gross budget authority and outlays:

4000 Budget authority, gross 5,000,000 5,000,000

4010 Outlays from new discretionary authority (490200E) 776,250 776,250

4020 Outlays, gross (total) (calc. Lines 4010 - 4011) 776,250 776,250

4070 Budget authority, net (discretionary) 5,000,000 5,000,000

4080 Outlays, net (discretionary) 776,250 776,250

Budget authority and outlays, net (total):

4180 Budget authority, net (total) (calc. Lines 4070 + 4160) 5,000,000 5,000,000

4190 Outlays, net (total) (calc. Lines 4080 + 4170) 776,250 776,250
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

Page 50 of 61

 FY 2019 

Year 2 

Illustrative Transactions

During Year 2, the FPA is ready to disburse funds to the foreign vendor for expenses incurred in Year 1. 

Before the FPA can disburse a payment to the foreign vendor, it identifies that the foreign exchange rate has changed from the time of obligation 

in Year 1. After the goods were obligated with Year 1 Budgetary Authority, the value of the US Dollar decreased (and the exchange rate in the 

value of foreign currency increased.) Thus, the value of the goods at the time of obligation was lower than the value at the time of disbursement. 

Additional US Dollar funds will need to be obligated to cover the difference, and a loss and upward adjustment will need to be recognized. 

Because the loss is recognized at the time of disbursement, this loss and upward adjustment are also posted immediately preceding the 

disbursement.

2-1 To record a loss on a prior-year unpaid obligation due to fluctuation of foreign currency exchange rates on a non-monetary 

transaction, where excess obligations of a prior-year are adjusted upward due to the rate variance at the time of disbursement. 

DR CR TC

Budgetary Entry

465000 Allotments – Expired Authority

 498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, 

Unpaid 

Proprietary Entry

729000 Other Losses 

 211000 Accounts Payable 

310700 Unexpended Appropriations – Used 

 570000 Expended Appropriations 

18,000 

18,000 

18,000 

18,000 

18,000 

18,000 

D626 

B134 

At the time of obligation, the foreign currency exchange rate was (1 EUR = 1.12 USD).

At the time of disbursement, the foreign currency exchange rate has changed to (1 EUR = 1.20 USD).

An $18,000 Loss and Upward Adjustment are recognized due to the decreased USD value, and the increased value of the EUR rate previously obligated, using the 

following formula:

Loss = Value of obligation (1 EUR = 1.12 USD) – Value of obligation at time of disbursement (1 EUR = 1.20 USD)

Loss = $252,000 Accrual at 1.12 USD – (900,000 EUR x 1.20 USD x 25% delivery of Obligation)

Loss = $252,000 - $270,000 = $18,000.
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 Effective Fiscal 2019 

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2-2 To record a confirmed disbursement schedule previously accrued.

DR CR TC

Budgetary Entry

490100 Delivered Orders – Obligations, Unpaid

 490200 Delivered Orders – Obligations, Paid 

Proprietary Entry

211000 Accounts Payable 

 101000 Fund Balance with Treasury 

270,000 

270,000 

270,000 

270,000 

B110 

Year 2 Pre-Closing Adjusted Trial Balances

USSGL Accounts Debit Credit

Budgetary

420100 Total Actual Resources – Collected 4,223,750 -

465000 Allotments – Expired Authority - 3,953,750

490100 Delivered Orders – Obligations, Unpaid 18,000 -

490200 Delivered Orders – Obligations, Paid - 270,000

498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, Unpaid - 18,000

TOTAL 4,241,750 4,241,750

Proprietary

101000 Fund Balance with Treasury 3,953,750 -

310000 Unexpended Appropriations – Cumulative - 3,971,750

310700 Unexpended Appropriations – Used 18,000 -

570000 Expended Appropriations - 18,000

729000 Other Losses 18,000 -

TOTAL 3,989,750 3,989,750
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 FY 2019 

Year 2 Closing Entries

2-3 To record the closing of paid delivered orders to total actual resources.

DR CR TC

Budgetary Entry

490200 Delivered Orders – Obligations, Paid 

 420100 Total Actual Resources – Collected

Proprietary Entry

None 

270,000 

270,000 

F314 

2-4 To record the closing of upward adjustments to prior-year unpaid delivered orders - obligations, recoveries.

DR CR TC

Budgetary Entry

498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, 

Unpaid 

 490100 Delivered Orders – Obligations, Unpaid 

Proprietary Entry

None 

18,000 

 

 18,000 

F324 

2-5 To record the closing of fiscal-year activity to unexpended appropriations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

310000 Unexpended Appropriations – Cumulative 

 310700 Unexpended Appropriations – Used 

18,000 

18,000 

 F342 
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 FY 2019 

2-6 To record the closing of expended appropriations to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

570000 Expended Appropriations 

 331000 Cumulative Results of Operations 

 18,000 

 18,000 

F336 

2-7 To record the closing of other losses to cumulative results of operations.

DR CR TC

Budgetary Entry

None 

Proprietary Entry

331000 Cumulative Results of Operations 

 729000 Other Losses 

18,000 

18,000 

F340 
 GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUATIONS

 Effective Fiscal 2019 

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 FY 2019 

Year 2 Post-Closing Adjusted Trial Balances

USSGL Accounts Debit Credit 

Budgetary

420100 Total Actual Resources – Collected 3,953,750 -

465000 Allotments – Expired Authority - 3,953,750

TOTAL 3,953,750 3,953,750

Proprietary

101000 Fund Balance with Treasury 3,953,750 -

310000 Unexpended Appropriations – Cumulative - 3,953,750

TOTAL 3,953,750 3,953,750
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 Effective Fiscal 2019 

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 FY 2019 

Financial Statements – Year 2

BALANCE SHEET – YEAR 2

Assets:

1. Fund Balance with Treasury (101000E) 3,953,750

15. Total Assets (calc.) 3,953,750

Liabilities:

28. Total Liabilities (calc.) -

Net Position:

30. Unexpended appropriations - Funds From Dedicated Collections (Combined or Consolidated Totals )

(310000E)

3,953,750

35. Total Net Position- Other Funds (calc.) 3,953,750

36. Total Net Position (calc.) 3,953,750

37. Total Liabilities and Net Position (calc.) 3,953,750

STATEMENT OF NET COST – YEAR 2

Gross Program Costs:

2. Less: Other Losses (729000E) 18,000

3. Net Program Costs (calc.) 18,000

5. Net Program Costs including Assumption Changes (calc.) 18,000

8. Net Cost of Operations (calc.) 18,000
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 FY 2019 

STATEMENT OF CHANGES IN NET POSITION – YEAR 2

Unexpended Appropriations

Beginning Balance:

1. Unexpended Appropriations – Cumulative (310000B) 3,971,750

3. Beginning Balance, as adjusted (calc.) 3,971,750

4. Appropriations Received (310100E) -

7. Appropriations Used (310700E) (18,000)

8. Total Budgetary Financing Sources (calc.) (18,000)

9. Total Unexpended Appropriations (calc.) 3,953,750

Cumulative Results of Operations:

Beginning Balance: 

10. Cumulative Results of Operations (331000B) -

12. Beginning Balance, as adjusted -

Budgetary Financing Sources:

14. Appropriations Used (570000E) (18,000)

23. Total Financing Sources (calc.) (18,000)

24. Net Cost of Operations (+/-) 18,000

25. Net Change (calc.) -

26. Cumulative Results of Operations (calc.) -

27. Net Position (calc.) 3,953,750
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 FY 2019 

STATEMENT OF BUDGETARY RESOURCES – YEAR 2

Budgetary Resources:

1051 Unobligated balance from prior year budget authority, net (420100B) 4,223,750

1910 Total Budgetary Resources 4,223,750

Status of Budgetary Resources:

2190 New obligations and upward adjustments (total) (480100E, 490100E, 490200E, 498100E) 270,000

Unobligated Balance, end of year:

2413 Expired unobligated balance, end of year (465000E) 3,953,750

2490 Unobligated balance, end of year (total) (calc. SBR Lines 2204, 2304, 2404, & 2413) 3,953,750

2500 Total Status of Budgetary Resources (calc. SBR Lines 2190 + 2490) 4,223,750

Outlays, Net:

4190 Outlays, net (total) (discretionary and mandatory) (490200E) 270,000

4210 Agency outlays, net (discretionary and mandatory) 270,000
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 Effective Fiscal 2019 

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 FY 2019 

SF 133: Report on Budget Execution and Budgetary Resources & 

Budget Program and Financing Schedule (Schedule P) – YEAR 2

SF 133 Schedule P

BUDGETARY RESOURCES

Unobligated balance:

1000 Unobligated balance brought forward, Oct 1 (420100B) 3,971,750 -

Budget authority:

Appropriations:

Discretionary:

1900 Budget authority (total) 4,223,750 -

1910 Total budgetary resources 4,223,750 -

1930 Total budgetary resources available - -

Memorandum (non-add) entries:

All accounts:

1940 Unobligated balance expiring (-) - -

STATUS OF BUDGETARY RESOURCES

New obligations and upward adjustments:

Direct:

2001 Category A (by quarter) (480100E, 490100E, 490200E, 498100E) 270,000 -

2004 Direct obligations (total) 270,000 -

2180 Obligations ("upward adjustments"), expired accounts 270,000 -

2190 New obligations and upward adjustments (total) (calc. Lines 2170 + 2180) 270,000 -

Expired accounts

2413 Expired unobligated balance, end of year (465000E) 3,953,750 -

2490 Unobligated balance, end of year (total) 3,953,750 -

2500 Total budgetary resources (calc. Lines 2001 - 2403, and 2413) 4,223,750 -
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 Effective Fiscal 2019

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FY 2019

CHANGE IN OBLIGATED BALANCE

Unpaid obligations:

3000 Unpaid obligations, brought forward, Oct 1 (480100E) 252,000 252,000

3011 Obligations ("upward adjustments"), expired accounts (498100E) 18,000 18,000

3020 Outlays (gross) (-) (490200E) (270,000) (270,000)

3050 Unpaid obligations, end of year (480100E) - -

3100 Obligated balance, start of the year (calc. Lines 3000, 3001, 3060, 3061) 252,000 252,000

3200 Obligated balance, end of year - -

BUDGET AUTHORITY AND OUTLAYS, NET

Discretionary:

Gross budget authority and outlays:

4011 Outlays from discretionary balances (490200E) 270,000 270,000

4020 Outlays, gross (total) (calc. 4010 + 4011) 270,000 270,000

4080 Outlays, net (discretionary) 270,000 270,000

Budget authority and outlays, net (total):

4180 Budget authority, net (total) (calc. Lines 4070 + 4160) - -

4190 Outlays, net (total) (calc. Lines 4080 + 4170) 270,000 270,000
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 Effective Fiscal 2019 

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 FY 2019 

Reclassified Financial Statements

RECLASSIFIED BALANCE SHEET

1 Assets

3 Federal

3.1 Fund balance with Treasury (101000E) 3,953,750

3.14 Total federal assets 3,953,750

4 Total assets (calc.) 3,953,750

5 Liabilities -

8 Total liabilities (calc.) -

9 Net position:

9.2 Net position – funds other than those from dedicated collections (310000E) 3,953,750

10 Total net position (calc.) 3,953,750

11 Total liabilities and net position (calc.) 3,953,750
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 Effective Fiscal 2019 

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 FY 2019 

RECLASSIFIED STATEMENT OF NET COST

1 Gross cost

2 Non-federal gross cost (610000N) 18,000

6 Total non-federal gross cost (calc.) 18,000

9 Department total gross cost (calc.) 18,000

14 Department total earned revenue -

15 Net cost of operations (calc.) 18,000

RECLASSIFIED STATEMENT OF OPERATIONS AND CHANGES IN NET POSITION

1 Net position, beginning of period 3,971,750

7 Budgetary financing sources:

7.2 Appropriations used (310700E) (18,000)

7.3 Appropriations expended (570000E) 18,000

7.20 Total budgetary financing sources (calc.) -

9 Net cost of operations (+/-) 18,000

10 Net position, end of period 3,953,750